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Conditions of contract

TERMS AND CONDITIONS

REGARDING PASSENGER SHIPPING CONTRACTS OF MAHART PASSNAVE LTD.

ON INTERNATIONAL AND DOMESTIC HYDROFOIL LINES, SCHEDULED BOATS AND CHARTER BOATS

1) Scope of the Terms and Conditions

These Terms and Conditions are based on the terms of the agreement between MAHART PassNave Passenger Shipping Ltd. (hereafter: PassNave Kft) and its legally contracted partners of passenger transportation (individuals and groups on scheduled lines as well as charter passengers, hereafter collectively called passenger), unless PassNave Kft and passenger agrees differently in the contract that governs their legal relationship. Passenger transportation by PassNave Kft is regulated by the Civil Code of the Republic of Hungary; Act 42/2000 on Water Transport; Government Decree 261/2008 on the terms of passenger shipping (hereafter: VSZF); the Ministry of Transport and Postal Affairs decree 10/1971 on publishing the terms and conditions of passenger and cargo transportation; and the present Terms and Conditions, with the understanding that PassNave Kft is not involved in public passenger transportation.

2.) Beginning of legal relationship

A passenger transportation contract and, based on that, a legal relationship of passenger transportation begins when the passenger:

buys a ticket, or orders passenger transportation in writing, and the order is confirmed

In case a third party orders transportation and other related services on behalf of a passenger, PassNave Kft will not check whether the third party is a legal representative of the passenger(s). With the order, the third party becomes a legally contracted partner of PassNave Kft, in line with the regulations in Section 233 of the Civil Code.

3.) Obligations of PassNave Kft

PassNave Kft has the obligation to transport any passenger with a valid ticket for the given line, provided that

passenger transportation has not been banned by any law or decree; transportation is possible with the boat available; transportation is not obstructed by any circumstance that cannot be avoided or averted by PassNave Kft (force majeure).

PassNave Kft is to inform passengers about occurrence that prevents transportation or any restrictions imposed by the authorities on site in the ports and, when necessary, through press or radio announcements, or in case of having personal contact information, personally. After the announcement, PassNave Kft can cancel the line, but passengers are entitled to a full refund of the fare in such cases.

In case of domestic lines, if the boat cannot begin and/or continue the trip towards it’s destination because of any obstacles, and the obligation of transportation cannot be fulfilled by a substitute boat, the passenger is entitled to a refund of the fare for the cancelled part of the trip; or the passenger can ask to be transported back to the point of departure and reclaim the entire fare.

In case of international lines, if any difficulty occurs before the beginning of the trip or during the trip itself (breakdown of the boat, force majeure, hereafter collectively: travel obstacle), PassNave Kft is to transport the passengers to their original destination at it’s own cost, even by use of other means of transportation if necessary. If the passenger accepts the substitute means of transportation and continues the trip, the travel obstacle is considered to be averted.

If a substitute vehicle is used, PassNave Kft will not charge extra but will not return the fare, either. In case of national scheduled lines, if the boat cannot begin and/or continue the trip towards it’s destination because of any obstacle, and the obligation of transportation cannot be fulfilled by a substitute boat or the passenger does not accept a different means of transportation, the passenger is entitled to a refund of the fare for the cancelled part of the trip; or the passenger can ask to be transported back to the point of departure and reclaim the entire fare, unless the travel obstacle is caused by an forces beyond the scope of activity of PassNave Kft (force majeure). Cases of force majeure include:

- river barrage- accident involving another water vehicle- collision with another vehicle caused by the error of the other vehicle- authority measures- closing of borders- disarming bombs or explosives- extreme weather conditions- strike- low water- driftwood hazard- closing of ports- quarantine, epidemic- any hindrance caused by a passenger- criminal act- act of terrorism- indisposition of boat crew- sudden sickness of a passenger - army maneuver or training exercise- acts of war- mine dangerous- bridge or water construction works- malfunction of a canal, river lock or sluice gate- leaking of water into the hull of the boat due to external forces- fire- any other unavoidable external cause

The refunding of the travel fare always takes place at the point of sale where the passenger originally bought the ticket (or in case of a retailer, at the retailer's).

PassNave Kft will accept no further claims over and beyond the travel obstacles listed above.

4.) Obligations of passengers

In the port (boat station), passengers can only enter the areas open to them. Persons excluded or expelled from passenger transportation are not allowed to enter the area of the port (boat station), and it is forbidden to take objects excluded from passenger transportation to the area of the port.

On the boat, passengers can only enter the areas open to them. Escorts without a valid ticket - except for the escorts of the disabled - are not allowed to step on board. In the port (boat station) as well as on board the boat, any behavior that inconveniences other passengers or disrupts the work of our staff is forbidden. Smoking is not allowed outside the designated smoking sections. In the closed passenger cabins of hydrofoil boats, as well as in other closed areas (e.g. washrooms), smoking is not allowed.

Passengers must not soil, contaminate or damage the boat station (port), the boat or its equipment. In case of such an occurrence, the passenger is liable to damages. Once on board, passengers must obey all security and safety instructions of the captain of the boat.

PassNave Kft can only fulfill its obligations regarding passenger transportation if the passenger:

1. is present at the point of departure at least 1 hour before departure in the case of international lines, or 15 minutes in the case of domestic lines,

2. fulfills all official conditions and regulations on foreign trips, in the case of international lines,

3. presents both a valid ticket and the documents required for crossing borders. PassNave Kft will not be held liable for damages arising from failure to meet these requirements.

The passenger is to obey all valid rules and regulations concerning travel at all times, and to keep the laws of the country of destination. Any costs and damages incurred as a result of failure to do so will be paid by the passenger.

If the passenger does not fulfill official obligations or is not present on time for departure, PassNave Kft is only bound to fulfill it’s passenger transportation obligation if in doing so it does not jeopardize it’s obligations towards other passengers, e.g. departure of the boat on schedule.

Passengers can take their seats in order of boarding.

5.) Restriction on traveling, exclusion from traveling

The following passengers can be excluded from the trip:

Passengers who are drunk, or in a condition of stupor in any way; Passengers who behave in a scandalous way, or act in any way to disturb other passengers; Passengers suffering from infectious disease; Passengers whose behavior or actions jeopardizes the safety of transportation, the safety or health of themselves or other passengers, or the safe condition of the boat or it’s equipment; Passengers who violate instructions on passenger behavior; Passengers who travel without a valid ticket and refuse to pay the fare, or do not present a ticket and/or identification as proof of eligibility for free passage when asked; Passengers who come under the effect of any other clause in the VSZF

If any of the above takes place after departure, the captain of the boat has the authority to ask the passenger to disembark in the nearest port.

Disabled people and children under 14 can not travel unescorted. Boarding the boat without an escort is considered a statement that the person doing so is over 14.

Passengers who get sick or suffer an accident during the trip are transported to the nearest port by PassNave Kft, where they can receive the required medical assistance.

If a disease is suspected to be contagious, PassNave Kft will do it’s best to separate the sick passenger from other passengers.

Passengers who are expelled from the boat or excluded from the trip due to their own fault are not entitled to a refund.

6.) Schedule, duration of trips

Scheduled boats of PassNave Kft travel by an official, published timetable (scheduled lines). The shortest duration of travel between ports is determined by PassNave Kft. PassNave Kft is liable to damages caused by it’s failure to keep the timetable only if the delay occurs because of serious negligence by PassNave Kft.

7.) Transportation fares, luggage fees

Transportation fares are published by PassNave Kft in accordance with the law. Port charges are included in the official fare, as published by PassNave Kft and its partner companies (the operators of ports).

The price of the ticket includes:

transportation fare for the section of the trip shown on the ticket, all port charges for the section of the trip shown on the ticket, passenger casualty insurance from the time of boarding to disembarking, on international hydrofoil lines: transportation fee for maximum 12 kg, no bigger than 56x45x25 cm of hand baggage, and maximum 20 kg baggage per person for the given section of the trip, on domestic hydrofoil and other scheduled lines: transportation fee for maximum 12 kg of hand baggage per person for the given section of the trip.

8.) Booking (except for international hydrofoil event boats)

Tickets can be purchased online or in person at designated national and international ticket offices by cash or by credit card.Tickets can be booked in advance personally, by fax, by e-mail or by mail. Passengers who book a trip must give the exact date and time of the trip, the names of passengers, and a contact details so that passengers can be informed even shortly before the trip in case of an emergency. When tickets for international lines are reserved, information on the nationality of passengers must also be provided. When all the data mentioned above is received, PassNave Kft will confirm reservations within 2 workdays. Without confirmation the agreement between the parties is not established.

Passengers must pay for and receive the reserved tickets in person at the designated ticket office at least 30 minutes before departure, or make the payment by that time through other means (by bank transfer, or by providing credit card data as collateral against payment). In case the passenger fails to do so, PassNave Kft has the right to sell the reserved tickets to other passengers.

In case of national, scheduled hydrofoil lines, passengers must pay for and receive the tickets in person at a designated ticket office by 4 p.m. on the last weekday before the day of departure; or must pay in other ways until that point of time (by bank transfer, by postal check, or by providing credit card data as collateral against payment). In case the passenger fails to do so, PassNave Kft has the right to sell the reserved tickets to other passengers.

(These terms of reservation are only valid for direct sales by PassNave Kft; contracted retailers of PassNave Kft include their own terms and conditions in individual contracts).

Tickets can be modified 24 hours before departure at the latest.

9.) Travel discounts for domestic lines

For scheduled domestic hydrofoil lines:Discounts for children (between the age of 2 and 12), return discounts and discounts offered temporarily within the framework of promotion campaigns as advertised by the company are available. The extent of these discounts is published in the official price list of PassNave Kft.

For domestic scheduled cruise boats:Discount for children (between the age of 2-14), students and pensioners, return discounts and discounts offered temporarily within the framework of promotion campaigns as advertised by the company are available. The extent of these discounts is published in the official price list of PassNave Kft.

The discount on return trips is also available in combination with discounts for children, pensioners or students.

Student discount can be validated with valid Hungarian full-time student card or International Student Identity Card (ISIC).Senior discount can be validated with valid Hungarian Senior master page or for EU citizens with Senior Card.

For international scheduled hydrofoil lines:Discounts for children and return trips are available; the extent of these is published in the official price list of PassNave Kft. Discount for children: 50% of the full fare for the given international section of the trip.

On both domestic and international scheduled hydrofoil lines, discounts are available to children between 2-12 years of age; two children per family below the age of 2 can travel free of charge, provided they do not require separate seats.

Return discounts can be combined with child discounts.

10.) Transportation of luggage and hand baggage

Each passenger can carry one baggage that weigh no more than 12 kg and no bigger than 56x45x25 cm (and which do not obstruct boarding, disembarking or free passage in the passenger compartment of the boat), and one baby carriage, one umbrella, one walking stick and one small musical instrument on all boats of PassNave Kft free of extra charge.

Only hand baggage may be carried aboard scheduled lines and on domestic scheduled or program hydrofoil lines.

Objects that could cause damage to health or property, as well as objects that are illegal to transport, will not be permitted aboard.

Passengers must look after their own hand baggage on board, and PassNave Kft does not assume liability for lost, missing, damaged or stolen hand baggage, regardless of the cause.

On international hydrofoil lines, luggage must not weigh more than 20 kg. A surcharge of EUR 10 per kg will be charged for luggage in excess of the weight limit, to be paid by the passenger at the check-in desk, on the spot. A maximum of 10 kg extra weight per passenger is allowed on board.

The regulations of the VSZF will govern any aspects of luggage not regulated or not thoroughly detailed in the present Terms and Conditions.

A limited number of bicycles, tandem bicycles, bicyclw trailers and electric bicycles can be transported in strictly limited number, only on confirmed advanced order for an extra fee

11.) Transportation of live animals

Live animals must not be transported for reasons of hygiene. The only exceptions to this rule are police dogs on duty and dogs trained especially to help the blind and the disabled, provided the dog is on lead and wears a muzzle.

12.) Terms of cancellation

a.) In case of all lines of the company (except for hydrofoil program lines)

When canceling pre-purchased (tickets and bicycle tickets) or reserved tickets (including fare and baggage fees), the canceling party is to pay a penalty as follows:

1. For trips cancelled within 2 hours of departure, or when the passenger does not show up at departure, 100% of the fare is to be paid as penalty.2. For trips cancelled more than 2 hours but less than 21 days before departure, the fare can be refunded minus a 20% administration fee.3. Trips cancelled more than 21 days before departure carry no extra charge and PassNave is to refund the transportation fare or deposit.

(These terms of cancellation are only valid for direct sales by PassNave Kft; contracted retailers of PassNave Kft include their own terms and conditions in individual contracts).

The price of return tickets cannot be partially refunded after departure or at the destination.

If cancellation is made by the passenger, and the refund of the fare in cash is not possible at the ticket office, the cost of the bank transfer is to be paid by the passenger.

When reclaiming the price of a ticket or equivalent document the passenger already received earlier, the passenger must also return the unused and undamaged ticket, present the receipt and give proof of identity.

b.) In case of hydrofoil program boats (domestic and international)

The party canceling pre-paid tickets (including fare and baggage fees) or reserved seats is to pay the following penalties:

for trips cancelled within 7 days of departure, or if the passenger is not present at departure, 100% of the fare is to be paid as a penalty; for trips cancelled more than 8 but less than 15 days before departure, the fare is to be refunded minus a 50% administration fee; for trips cancelled more than 16 but less than 29 days before departure, the fare is to be refunded minus a 25% administration fee; canceling trips more than 30 days before departure carries no extra charges, and the transportation fare or deposit is to be refunded by PassNave Kft.

In case of program boats with domestic or international destinations, the present Terms and Condition are to be applied with the following modifications:

PassNave Kft acts as a trip organizer in case of passenger transportation programs not on water.

PassNave Kft has the right to make changes to hotel bookings or programs, within the same category. In case of programs in Vienna, the arrival and departure times and the starting times of individual programs may also be subject to change.

Passengers must pay for, and take possession of, reserved program tickets in person at least 30 days before the trip at a designated ticket office, or pay in an other way by that point of time (by bank transfer, or by providing credit card data as collateral against payment).

c.) In case of online purchased tickets

Terms of calcellation in case of online purchased and paid by bank card tickets:

- The ticket redemptions are subject to 20% handling fee- After deduction of the handlig fee the cost of treatment is not initiated by the transfer service, but the service clearing by crediting bank will return the ticket to party- Change the purchased ticket travel dates free of charge - In case of changes in other parameters of the purchased ticket (eg, type of vessel or line changes, reduction in the number of passengers) - as this is just the ticket redemption and re-issuance next possible - the redemption process described above takes place

13.) Renting charter boats

The charter tariffs officially published by PassNave Kft are valid for all charter boat rentals. Catering services are available exclusively through PassNave Kft.

If the renter of a charter boat intends to use ports that are not operated by PassNave Kft, port charges are to be paid as an extra. PassNave Kft will inform passengers about these port charges when the order is made.

The hourly stand-by fee for cruise and program boats is 50% of the hourly rental fee (the discount stand-by time can be no more than twice the duration of the trip). In case of domestic trips, the rental fee includes 3 hours of stand-by time at the destination; for further stand-by, 50% of the hourly rental fee is to be paid hourly. (Wedding events are an exception to this rule, a stand-by time and its associated fees are subject to individual agreement).

Stand-by fare in case of hydrofoils: during single-day trips, no stand-by fee is to be charged; for trips taking several days, stand-by time and other related charges (cost of accommodation for crew, etc.) are subject to individual agreement.

If the party renting the boat does not board the rented boat within one hour of the confirmed time of departure, and does not inform PassNave Kft about the difficulties that prevent boarding, PassNave Kft has the right to use the rented boat for any other purpose. In such cases, the terms of cancellation within 24 hours take effect.

a.) Ordering charter boats

Charter boats can be ordered in person or in writing (mail, fax, or e-mail). Orders must include:

the names of passengers or group of passengers, the number of passengers, the nationality of passengers (in case of international trips), the type of boat, the port of departure and arrival, as well as any landing request during the trip the date of the journey, time of departure and arrival (year, month, day, hour, minute) other services required

PassNave Kft is to confirm orders within three weekdays in writing, which confirmation constitutes a contract.

b.) Terms of cancellation for charter boats

When a charter boat trip is cancelled, the renting party is to pay the following percentages of the charter fee as a penalty:

for trips cancelled within 24 hours of departure: 100% of the rental fee; for trips cancelled between 24 and 48 hours before departure: 50% of the rental fee; for trips cancelled between 48 hours and 21 days before departure: 30% of the rental fee; trips cancelled more than 21 days before departure do not carry any extra charge.

Cancellation is valid from the arrival of the written cancellation request to PassNave Kft. Only the ordering party whose name is printed on the ticket, or an authorized agent presenting a written proxy commission, can cancel or modify the contract.In case of cancellation by the ordering party, the cost of bank transfer is to be paid by the canceling party. If the charter boat cannot depart due to unforeseen reasons (force majeure), both parties will be exempted from cancellation fees and penalties. In such cases, the full charter fee is refunded by PassNave Kft within 30 days.

Any complaints by customers in connection with any of our services should be submitted to PassNave Kft in writing by 4 p.m. on the day after arrival. Failure to meet this deadline will result in loss of right. Complaints can also be submitted in writing to the captain of the boat before departure, during the trip or immediately after the trip.

14.) Catering, sale

Canteens or other catering services can be ordered and used exclusively through PassNave Kft. Commercial activities at the boat stations (ports) or on the boats are only allowed with the permission of PassNave Kft; nevertheless, the permission of PassNave Kft does not substitute the authority permits otherwise required.

15.) Advertisement

PassNave Kft is the exclusive owner of all interior and exterior surfaces and advertisement media on its boats (in case of events as well). A prior written agreement is required for the use of these surfaces.

16.) Liability

PassNave Kft assumes liability for damages arising during the transportation of passengers in line with these Terms and Conditions. The regulations of the Civil Code on enterprises will govern such cases.

If passenger transportation (laid down in the present or in combinations not shown, but it’s constituting force majeure) is affected or prevented by force majeure (war, epidemic, act of terrorism, strike, or unforeseen natural conditions such as low or high water or technical difficulties, e.g. a shipping embargo), PassNave Kft is not liable for the aborted lines or any failure in fulfilling the passenger transportation contract because of the above reasons, but will refund the purchased tickets within 30 days.

PassNave Kft is not responsible for fragile or perishable goods in the luggage of passengers or for damages caused by these goods, and will not be held liable for damages caused by improper packing.

17.) Claims arising from the legal relationship of passenger transportation

Passengers must report their claims for damages arising from their legal relationship of passenger transportation without delay. This enables PassNave Kft to take the necessary measures to remedy the situation, and makes it possible to record all facts related to the claim on the spot. Any claims for damages must be submitted to PassNave Kft in writing until 4 p.m. on the day following completion of the journey. Failure to meet this deadline will result in loss of right.

18.) Subcontractors

PassNave Kft has the right to use subcontractors for transportation services. If PassNave Kft passes the operation of passenger transportation to any other entrepreneur, the current Terms and Conditions will still remain in effect, in addition to the terms of individual contracts.

19.) Ban of transfer

Rights derived from the passenger transportation contract cannot be ceded or transferred to a third party without informing PassNave Kft in writing beforehand.

20.) Lapse

All claims against PassNave Kft in connection with the passenger transportation contract become forfeit after six months at the latest, unless the present Terms and conditions stipulate otherwise.

21.) Legal disagreements

Any disagreements are to be settled in accordance with Hungarian law.

In case of any disagreement that arises in connection with agreements or contracts made under the present Terms and Conditions, or related to the Terms and Conditions, or caused by the breaking, canceling, validity or interpretation of the Terms and Conditions, all parties will submit themselves to the exclusive decision of the Court of Arbitration attached to the Hungarian Chamber of Commerce and Industry, with the understanding that the court will follow its own Operational Regulations.

Terms of individual contracts between PassNave Kft and customers or passengers take precedence over the present Terms and Conditions.

The present Terms and Conditions take effect on January 1, 2009; its terms are to be applied to trips after that point of time, except for the following: tickets purchased before January 1, 2009 are to be refunded under the regulations in effect on the day of purchase; and agreements made before January 1, 2009 must follow the earlier regulations that were valid on the day of signing the contract.

These Terms and Conditions are to be published on the webpage of PassNave Kft, and will be displayed in every ticket office and boat station. PassNave Kft will also let its customers peruse its Terms and Conditions on request.

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